IFRS consolidation successfully mastered
Avaloq Evolution AG
Projectintegrated standard solution for consolidation; quick to launch with expert training; independent of a specific ERP solution; automation via wizard-based consolidation
Increased growth in the group and rising demands on international accounting – with LucaNet, we can tackle these challenges successfully. The software has a simple, logical and intuitive structure. The diverse functionalities form the perfect response to the challenges we face in preparing our consolidated financial statements.
About the company
- software development and business process outsourcer for financial service providers
- Zurich - Switzerland
- 2.400 (worldwide)
Structural growth and more stringent formal accounting requirements are the decisive factors that CFOs are having to contend with today. We are having to rethink the whole process, since working with traditional systems is no longer proving sufficient. The challenges of preparing consolidated financial statements are too complex. The software and financial services provider Avaloq is shaping its future with innovative technology from LucaNet.
Essential for banking – as Switzerland's leading software and financial services company, Avaloq is committed to living up to this claim. Its core business focuses on developing and selling its own software package, the Avaloq Banking Suite, which is currently being used by more than 450 banks worldwide. With 20 companies in Europe, Asia and Australia and a total of about 2,400 employees all around the globe, the Avaloq Group currently finds itself faced with high requirements when it comes to preparing consolidated financial statements.
"After working with very popular software for many years, we kept hitting more and more problems with consolidation," reports Tobias Peter, responsible in the Group Planning & Consolidation team at Avaloq. "The previous system was not able to meet the increased reporting requirements of the Board of Directors and Management Team, keep up with the growth of the Group, fulfil the necessary formal accounting requirements in accordance with the IFRS or prepare the financial statements quickly enough. As a company operating at an international level, we are reliant on a sound and integrated standard solution. This is exactly what we have found at LucaNet. The tool is set to be implemented as cost-efficiently as possible within a short space of time. For us, it was also important to remain independent of external consultants when handling necessary adjustments (Group structure, reporting, chart of accounts, etc.)."
Reference customers help with the decision
Avaloq decided to use the LucaNet software over a period of around four months. "We took the time to look at all the consolidation solutions currently on the market," continues Peter. "After the first evaluation phase, we subjected the three best providers to another in-depth review and visited reference customers, among other things. This helps you gain a really genuine view and you benefit from their experience at the same time. These discussions with other customers made our decision to go for LucaNet much easier."
Connected within half a day
The data are imported into LucaNet via MS Excel and SAP and the transaction figures are then displayed, including partner information, balances and the fixed assets analysis. "We are extremely pleased with the implementation phase," says Ursin Seglias, a specialist in the Group Planning & Consolidation team at Avaloq. "The first connection was complete in half a day. We then had to spend another half day making small adjustments. The highly competent and very helpful LucaNet support team played a key role here. What makes the software so special is its simple and logical structure and sophisticated performance. The tool is running quickly and without any errors. Any differences in the figures we prepare can be identified and eliminated quickly thanks to the drill down function."
Consolidation with LucaNet creates transparency
Avaloq uses LucaNet to consolidate its financial statements in accordance with IFRS. The consolidation wizards for debt consolidation and income and expense consolidation ensure greater automation and reliability. "LucaNet offers us an ideally integrated solution with a coherent structure for all our subsidiaries," says Seglias regarding their use of the software. "This makes our consolidation process more efficient, more transparent and, above all, more reliable. The audit trails guarantee transparency at all times with any data we change, making it easy to trace exactly who has done what and when."
LucaNet will be used comprehensively at Avaloq. The tool helps map the consolidated financial statements in accordance with IFRS, consisting of the consolidated balance sheet, consolidated income statement, consolidated cash flow statement and consolidated equity, fixed assets, provision and credit analyses.